McDonald's shutting down its spin-off chain less than two years after opening

In terms of global branding dominance, few names fit the bill better than McDonald’s.

Since its 1940 founding by brothers Richard and Maurice McDonald, the fast food giant has opened over 36,000 outlets across 100 different countries and territories and employs over a million people.

Not bad for a burger joint. No matter where you are in the world, you’re probably within range of a Big Mac.

With that kind of footprint, brand awareness, and synonymousness with the fast food industry, you might be surprised to learn that McDonald’s, not content with such dominance, opened a spin-off chain to go after a new market.

Only five CosMc's outlets were opened (Scott Olson / Staff/Getty Images)

In December 2023, McDonald’s opened the first CosMc’s in Illinois, focusing on drinks rather than quick and tasty grub.

The pilot outlets had the potential to spawn many more, but on May 23rd it was announced that CosMc’s would be shuttering its doors on a ‘rolling basis’. Its app will also be closed in late June 2025.

"Dear valued customer, on June 23, 2025, the CosMc's Club loyalty program, mobile app, and web ordering services will be discontinued," says a pop-up statement on the CosMc’s website.

"Please be advised that any earned points and rewards should be used before this date, as they will be forfeited after this date per our terms and conditions. We appreciate your loyalty and business. Thank you for your understanding.”

CosMc’s had introduced a range of ‘signature’ drinks during its two-year run, including the French Toast Galaxy Latte, Island Pick-Me-Up Punch and Pistachio Swirl, the Iced Vanilla Matcha Latte, and the Chai Frappé Burst, among others.

(Bosca78/Getty Images)

The winding-down chain also sells some food items, such as sandwiches, pretzels, and soft serve ice cream. It also features a few items from the standard McDonald’s menu, along with a range of more health-focused drinks like vitamin shots and teas.

"What started as a belief that McDonald’s had the right to win in the fast-growing beverage space quickly came to life as a multi-location, small format, beverage-focused concept," McDonald’s said in a press release.

"It allowed us to test new, bold flavours and different technologies and processes – without impacting the existing McDonald’s experience for customers and crew.”

The company will reportedly fold its learnings and insights from CosMc’s into new and future products, but it seems the beverage-focused chain didn’t make the splash McDonald’s had hoped for.

CosMc's serves drinks and a small selection of food items (The Washington Post/Getty Images)

Only five locations were opened, with one in Illinois and four in Texas. Reddit users aired surprise at the announcement, with many unsurprisingly noting that they hadn’t come across the limited chain.

“Well this is the first I’m hearing of this concept, and I am downright outraged about these closures!” opined one such Redditor.

Another suggested: “This could have worked if they didn't try to run it like a drive thru. It is a cafe. Cafes are where people go to chill. Waiting in a drive-thru line kills your chill.”

There is nothing worse than a killed chill.